decision support systems knowledge management. modified from decision support systems and business...
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Decision Support SystemsDecision Support Systems
Knowledge ManagementKnowledge Management
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Learning ObjectivesLearning Objectives Define knowledge and describe the
different types of knowledge Describe the characteristics of
knowledge management Describe organizational learning and its
relationship to knowledge management Describe the knowledge management
cycle Describe the technologies that can be
used in a knowledge management system
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Learning ObjectivesLearning Objectives Describe different approaches to
knowledge management Describe the chief knowledge officer and
others involved in knowledge management
Describe the role of knowledge management in organizational activities
Describe the different ways of evaluating intellectual capital in an organization
Describe how KMS are implemented
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Opening Vignette:Opening Vignette:
“MITRE Knows What It Knows Through Knowledge Management”
Company backgroundProblem descriptionProposed solutionResultsAnswer and discuss the case questions
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Opening Vignette:Opening Vignette:MITRE’s View to the KM MITRE’s View to the KM ProcessProcess
ENABLING TECHNOLOGIES FOR KNOWLEDGE MANAGEMENT
Expert Systems
DataMining
SearchEngine
Web 2.0
Databases
Portals
Internet
Collaboration
Webtechnologies
Intranet
Extranet
Knowledgerepresentation
Measurements
Machine Learning
Artificial Intelligence
Create
Identify
Share
Act Apply
Modify
CULTURE PROCESS PRACTICE
KM LIFE-CYCLE
Communication
INFLUENCING FACTORS
feedback
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Knowledge management concepts and definitions Knowledge management
The active management of the expertise in an organization. It involves collecting, categorizing, and disseminating knowledge
Intellectual capitalThe invaluable knowledge of an organization’s employees
Introduction to Introduction to Knowledge Management Knowledge Management
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Knowledge is information that is contextual,
relevant, and actionable understanding, awareness, or
familiarity acquired through education or experience
anything that has been learned, perceived, discovered, inferred, or understood.
In a knowledge management system, “knowledge is information in action”
Introduction to Introduction to Knowledge Management Knowledge Management
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Introduction to Introduction to Knowledge Management Knowledge Management
ProcessedRelevant and
Actionable
Relevant and actionable processed-data
Database PHASE 5
DEPT 4
DEPT 3
DEPT 2
DEPT 1
PHASE 4PHASE 3PHASE 2PHASE 1
DEPLOYMENT CHART
1 2 3 4 5
Data
Information
Knowledge
Wisdom
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Introduction to Introduction to Knowledge Management Knowledge Management
Characteristics of knowledge Extraordinary leverage and
increasing returns Fragmentation, leakage and the
need to refresh Uncertain value Uncertain value of sharing
Knowledge-based economyThe economic shift from natural resources to intellectual assets
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Introduction to Introduction to Knowledge Management Knowledge Management
Explicit and tacit knowledge Explicit (leaky) knowledge
Knowledge that deals with objective, rational, and technical material (data, policies, procedures, software, documents, etc.)
Easily documented, transferred, taught and learned
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Introduction to Introduction to Knowledge Management Knowledge Management
Explicit and tacit knowledge Tacit (embedded) knowledge
Knowledge that is usually in the domain of subjective, cognitive, and experiential learning
It is highly personal and hard to formalize
Hard to document, transfer, teach and learn
Involves a lot of human interpretation
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Introduction to Introduction to Knowledge Management Knowledge Management
Knowledge management systems (KMS) A system that facilitates knowledge management by ensuring knowledge flow from the person(s) who know to the person(s) who need to know throughout the organization; knowledge evolves and grows during the process
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Organizational Organizational Learning and Learning and Transformation Transformation
Learning organization An organization capable of learning from its past experience, implying the existence of an organizational memory and a means to save, represent, and share it through its personnel
Organizational memory Repository of what the organization “knows”
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Organizational Organizational Learning and Learning and Transformation Transformation
Organizational learning Development of new knowledge and
insights that have the potential to influence organization’s behavior
The process of capturing knowledge and making it available enterprise-wide
Need to establish corporate memory Modern IT helps… People issues are the most
important!
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Organizational Organizational Learning and Learning and Transformation Transformation
Organizational culture The aggregate attitudes in an organization concerning a certain issue (e.g., technology, computers, DSS) How do people learn the
“culture”? Is it explicit or implicit? Can culture be changed? How?
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Organizational Organizational Learning and Learning and Transformation Transformation
Why people don’t like to share knowledge: Lack of time to share knowledge and time to
identify colleagues in need of specific knowledge
Fear that sharing may jeopardize one’s job security
Low awareness and realization of the value and benefit of the knowledge others possess
Dominance in sharing explicit over tacit knowledge
Use of a strong hierarchy, position-based status, and formal power
Insufficient capture, evaluation, feedback, communication, and tolerance of past mistakes
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Organizational Organizational Learning and Learning and Transformation Transformation
Why people don’t like to share knowledge: Differences in experience and education levels Lack of contact time and interaction between
knowledge sources and recipients Poor verbal/written communication and
interpersonal skills Age, gender, cultural and ethical defenses Lack of a social network Ownership of intellectual property Lack of trust in people because they may
misuse knowledge or take unjust credit for it Perceived lack of accuracy/credibility of
knowledge
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Knowledge Management Knowledge Management ActivitiesActivities Knowledge management
initiatives and activities Most knowledge
management initiatives have one of three aims: 1. To make knowledge visible2. To develop a knowledge-
intensive culture3. To build a knowledge
infrastructure
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Knowledge Management Knowledge Management ActivitiesActivities Knowledge creation is the
generation of new insights, ideas, or routines
Four modes of knowledge creation: Socialization Externalization Internalization Combination
Analytics-based knowledge creation?
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Knowledge Management Knowledge Management ActivitiesActivities
Knowledge sharing Knowledge sharing is the willful
explication of one person’s ideas, insights, experiences to another individual either via an intermediary or directly
In many organizations, information and knowledge are not considered organizational resources to be shared but individual competitive weapons to be kept private
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Knowledge seeking Knowledge seeking
(knowledge sourcing) is the search for and use of internal organizational knowledge
Lack of time or lack of reward may hinder the sharing of knowledge or knowledge seeking
Knowledge Management Knowledge Management ActivitiesActivities
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Approaches toApproaches toKnowledge Management Knowledge Management Process approach to knowledge
management attempts to codify organizational knowledge through formalized controls, processes and technologies Focuses on explicit knowledge and IT
Practice approach focuses on building the social environments or communities of practice necessary to facilitate the sharing of tacit understanding Focuses on tacit knowledge and
socialization
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Approaches to Approaches to Knowledge Management Knowledge Management
Hybrid approaches to knowledge management The practice approach is used so that a
repository stores only explicit knowledge that is relatively easy to document
Tacit knowledge initially stored in the repository is contact information about experts and their areas of expertise
Increasing the amount of tacit knowledge over time eventually leads to the attainment of a true process approach
Hybrid Hybrid atat
80/2080/20to to
50/5050/50
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Knowledge Management - Knowledge Management -
A Demand Led Business A Demand Led Business ActivityActivity
Supply-driven vs. demand-driven KM
Technology approach
Data
Knowledge
Information Action
Results
Supply-driven: DIKAR
Demand-driven: RAKIDBusiness-value approach
summarize
contextulize utilize
obtain
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Approaches to Approaches to Knowledge Management Knowledge Management
Best practices In an organization, the best methods for solving problems. These are often stored in the knowledge repository of a knowledge management system
Knowledge repository is the actual storage location of knowledge in a knowledge management system. Similar in nature to a database, but generally text-oriented
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Approaches to Approaches to Knowledge Knowledge Management Management
KNOWLEDGE MANAGEMENT PLATFORM (KMP)
Human Experts
KNOWLEDGE PORTAL (Web-based End User Interface)
Intelligent Broker
KNOWLEDGE REPOSITORY (Knowledge / Information / Data Nuggets)
Web Crawler Data/Text Mining ToolsManualEntries
DIVERSE INFORMATION / DATA SOURCES(Weather / Medical Info / Finance / Agriculture / Industrial)
Ad hocSearch
KN
OW
LED
GE C
RE
AT
ION
KN
OW
LED
GE U
TIL
IZA
TIO
N
A Comprehensive A Comprehensive View to View to Knowledge Knowledge RepositoryRepository
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Approaches to Approaches to Knowledge Management Knowledge Management
Developing a knowledge repository Knowledge repositories are
developed using several different storage mechanisms in combination
The most important aspects and difficult issues are making the contribution of knowledge relatively easy for the contributor and determining a good method for cataloging the knowledge
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
The KMS cycle KMS usually follow a six-
step cycle:1. Create knowledge 2. Capture knowledge 3. Refine knowledge 4. Store knowledge 5. Manage knowledge 6. Disseminate knowledge
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Capture Knowledge
Refine Knowledge
Store Knowledge
Manage Knowledge
Disseminate Knowledge
Create Knowledge
1
2
3
4
5
6
Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
The Cyclic Model of The Cyclic Model of Knowledge ManagementKnowledge Management
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Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
Components of KMS KMS are developed using three sets of core
technologies:
1. Communication2. Collaboration3. Storage and retrieval
Technologies that support KM Artificial intelligence Intelligent agents Knowledge discovery in databases Extensible Markup Language (XML)
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Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
Artificial intelligence AI methods used in KMS:
Assist in and enhance searching knowledge
Help for knowledge representation (e.g., ES)
Help establish knowledge profiles of individuals and groups
Help determine the relative importance of knowledge when it is contributed to and accessed from the knowledge repository
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
AI methods used in KMS: Scan e-mail, documents, and databases to
perform knowledge discovery, determine meaningful relationships and rules
Identify patterns in data (usually through neural networks and other data mining techniques)
Forecast future results by using data/knowledge
Provide advice directly from knowledge by using neural networks or expert systems
Provide a natural language or voice command–driven user interface for a KMS
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
Intelligent agents Intelligent agents are software
systems that learn how users work and provide assistance in their daily tasks
They are used to elicit and identify knowledge
See ibm.com, gentia.com for examples Combined with enterprise knowledge
portal to proactively disseminate knowledge
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Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
Knowledge discovery in databases (KDD) A machine learning process that performs rule induction, or a related procedure to establish (or create) knowledge from large databases a.k.a. Data Mining (and/or Text
Mining)
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
Model marts Small, generally departmental repositories of knowledge created by employing knowledge-discovery techniques on past decision instances. Similar to data marts
Model warehouses Large, generally enterprise-wide
repositories of knowledge created by employing knowledge-discovery techniques. Similar to data warehouses
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Information Technology Information Technology (IT) in Knowledge (IT) in Knowledge Management Management
Extensible Markup Language (XML) XML enables standardized representations
of data structures so that data can be processed appropriately by heterogeneous information systems without case-by-case programming or human intervention
Web 2.0 The evolution of the Web from statically
disseminating information to collaboratively creating and sharing information
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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KM System KM System Implementation Implementation
Knowledge management products and vendors Knowware
Technology tools (software/hardware products) that support knowledge management
Software development companies / vendors Collaborative computing tools Knowledge servers Enterprise knowledge portals (EKP)
An electronic doorway into a knowledge management system…
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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KM System KM System Implementation Implementation
Software development companies / vendors Electronic document management (EDM)
A method for processing documents electronically, including capture, storage, retrieval, manipulation, and presentation
Content management systems (CMS) An electronic document management system that produces dynamic versions of documents, and automatically maintains the current set for use at the enterprise level
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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KM System KM System Implementation Implementation
Software development tools Knowledge harvesting tools Search engines Knowledge management
suites Knowledge management
consulting firms Knowledge management ASPs
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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KMS Implementation KMS Implementation
Integration of KMS with other business information systems With DSS/BI Systems With AI With databases and information
systems With CRM systems With SCM systems With corporate intranets and
extranets
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Roles of People in Roles of People in Knowledge Management Knowledge Management
Chief knowledge officer (CKO)The person in charge of a knowledge management effort in an organization Sets KM strategic priorities Establishes a repository of best practices Gains a commitment from senior executives Teaches information seekers how to better elicit
it Creates a process for managing intellectual
assets Obtain customer satisfaction information Globalizes knowledge management
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Roles of People in Roles of People in Knowledge Management Knowledge Management
Skills required of a CKO include: Interpersonal communication skills Leadership skills Business acumen Strategic thinking Collaboration skills The ability to institute effective
educational programs An understanding of IT and its role in
advancing knowledge management
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Roles of People in Roles of People in Knowledge Management Knowledge Management
The CEO, other chief officers, and managers The CEO is responsible for championing a
knowledge management effort The officers make available the resources
needed to get the job done CFO ensures that the financial resources are
available COO ensures that people begin to embed
knowledge management practices into their daily work processes
CIO ensures IT resources are available Managers also support the KM efforts by
providing access to sources of knowledge
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Roles of People in Roles of People in Knowledge Management Knowledge Management
Community of practice (CoP)A group of people in an organization with a common professional interest, often self-organized for managing knowledge in a knowledge management system
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Roles of People in Roles of People in Knowledge Management Knowledge Management
KMS developers The team members who
actually develop the system Internal + External
KMS staff Enterprise-wide KMS require a
full-time staff to catalog and manage the knowledge
Modified from Decision Support Systems and Business Intelligence Systems 9E.
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts
Success stories of knowledge management Implementing a good KM strategy can:
Reduce… loss of intellectual capital costs by decreasing the number of times the company must repeatedly solve the same problem
redundancy of knowledge-based activities Increase…
productivity employee satisfaction
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts
MAKE: Most Admired Knowledge Enterprises “Annually identifying the best practitioners of KM” Criteria (performance dimensions):1.Creating a knowledge-driven corporate culture 2.Developing knowledge workers through leadership 3.Fostering innovation 4.Maximizing enterprise intellectual capital 5.Creating an environment for collaborative knowledge
sharing 6.Facilitating organizational learning 7.Delivering value based on stakeholder knowledge 8.Transforming enterprise knowledge into stakeholders’
value
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts
MAKE: Most Admired Knowledge Enterprises “Annually identifying the best practitioners of KM” 2008 Winners:
1. McKinsey & Company
2. Google 3. Royal Dutch Shell 4. Toyota 5. Wikipedia 6. Honda 7. Apple 8. Fluor 9. Microsoft
10. PricewaterhouseCoopers
11. Ernst & Young 12. IBM 13. Schlumberger 14. Samsung Group 15. BP 16. Unilever 17. Accenture
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts
Useful applications of KMS Finding experts electronically and
using expert location systems Expert location systems (know-who) Interactive computerized systems that help employees find and connect with colleagues who have expertise required for specific problems—whether they are across the county or across the room—in order to solve specific, critical business problems in seconds
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts
Knowledge management valuation Financial metrics for knowledge
management valuation Focus knowledge management projects on specific business problems that can be easily quantified
When the problems are solved, the value and benefits of the system become apparent
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts Knowledge management valuation
Nonfinancial metrics for knowledge management valuation—new ways to view capital when evaluating intangibles:
Customer goodwill External relationship capital Structural capital Human capital Social capital Environmental capital
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts
Causes of knowledge management failure The effort mainly relies on technology
and does not address whether the proposed system will meet the needs and objectives of the organization and its individuals
Lack of emphasis on human aspects Lack of commitment Failure to provide reasonable incentive
for people to use the system…
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts
Factors that lead to knowledge management success A link to a firm’s economic value, to
demonstrate financial viability and maintain executive sponsorship
A technical and organizational infrastructure on which to build
A standard, flexible knowledge structure to match the way the organization performs work and uses knowledge
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts Factors that lead to knowledge
management success A knowledge-friendly culture that
leads directly to user support A clear purpose and language, to
encourage users to buy into the system
A change in motivational practices, to create a culture of sharing
Multiple channels for knowledge transfer
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Ensuring the Success of Ensuring the Success of Knowledge Management Knowledge Management Efforts Efforts
Factors that lead to knowledge management success A significant process orientation
and valuation to make a knowledge management effort worthwhile
Nontrivial motivational methods to encourage users to contribute and use knowledge
Senior management support
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Last words on KMLast words on KM Knowledge is an intellectual asset IT is “just” an important enabler Proper management of
knowledge is a necessary ingredient for success
Key issues: Organizational culture Executive sponsorship Measurement of success
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End of the ChapterEnd of the Chapter
Questions / comments…